Notes to Accounts of Maris Spinners Ltd.

Mar 31, 2025

Your Directors are pleased to present the 46th Annual Report together with the Audited Financial Statements
for the year ended March 31, 2025 The Management Discussion and Analysis is also included in this Report.

1. COMPANY PERFORMANCE

Maris Spinners Limited (Your Company) is a leading spinning mill manufacturing high quality yarn for the
domestic market with interests in Wind and Solar Energy Generation for captive use. The Gross Revenue
from operations stood at Rs.17,868.99 lakhs compared with 16,699.44 lakhs during the Previous Year. The
Operating Profit/(loss) before tax stood at (Rs. 164.69) lakhs as against (Rs. 1,326.58) lakhs during the
Previous Year. The Net Profit/(Loss) for the year stood at (Rs. 149.63) against (Rs. 899.05 lakhs)) lakhs
reported during the Previous Year.

2. FINANCIAL HIGHLIGHTS Rs. in Lakhs

S.NO.	PARTICULARS	2024-25	2023-24
i	Revenue from operations	17,868.99	16,699.44
ii	Profit before exceptional items/extraordinary items and tax	(164.69)	(1,326.58)
iii	Exceptional and extraordinary items	-	-
iv	Profit/Loss before tax	(164.69)	(1,326.58)
v	Tax adjustments
	For Current year	-	-
	Relating to previous year	-	-
	Deferred Tax	(39.07)	(383.85)
	MAT credit entitlement	-	-
vi	Other comprehensive income	(24.01)	13.87
	Profit (Loss) after tax	(149.63)	(899.05)
vii	Earnings per share	(1.89)	(11.34)

3. DIVIDEND AND RESERVES

No dividend were declared for the current financial year (2024-25) due to loss incurred by the company.

4. INDIAN ACCOUNTING STANDARD (IND AS) IFRS CONVERGED STANDARDS

Pursuant to the notification of the Companies (Indian Accounting Standard) Rules, 2015 by the Ministry
of Corporate Affairs (MCA) on 16 February 2015, the company has adopted IND AS (Indian Accounting
standards) from the financial year 2017-18.

5. ANALYSIS AND REVIEW

Industry conditions and Review of operations

The Indian textile industry is a significant part of the country''s economy, contributing to both GDP and
employment, and is a major global exporter.

India holds a significant position in the global textile industry, being the world''s second-largest producer
of textiles and garments, and a major exporter of textiles and apparel. India is also the second-largest
producer of cotton globally. The Indian textile industry contributes significantly to the country''s economy,
employing millions and generating substantial revenue.

The yarn market is growing due to consumer demand, technological advancements and sustainable
manufacturing practices.

However, the yarn market faces several challenges.

1. Raw material availability

2. Price volatility - The prices of raw materials can be volatile, influencing production costs and
pricing strategies for textile yarns. This volatility poses a challenge for manufacturers in managing
their operations and maintain profitability.

Cotton production in India is projected to reach 7.2 million tonnes by 2030 driven by increased demand
from consumers.

Textile manufacturing in India has been steadily recovering amid the pandemic.

Company Outlook

The Indian textile industry is one of the largest and most dynamic sectors in the world. With its rich
cultural heritage and diverse production capabilities, India is poised to become a global textile leader
by 2025. As we move into the future, several key trends and innovations are shaping the trajectory of
the industry. The Indian textile industry''s outlook for 2025, is focusing on growth prospects, emerging
trends, and the role of sustainability and technology..

The Company has also made adjustments to ensure we are in position to produce counts of yarn that
are in demand and able to switch counts at short notice to meet demand as opposed to produce and
store.

The Company is also continually exploring ways to introduce value added products to help expand
margins.

The Company is making all efforts to reduce costs and rationalize operations to have a positive effect
and give better operational results.

Opportunities and Risks

The Indian textile and apparel industry has been adversely impacted in the short to medium-term due
the ongoing Ukraine-Russia war, overall increase in commodity prices and un-precedented double digit
inflation as being experienced in western countries, resulting in lower consumer spends on apparels and
made ups. The sector is reeling under liquidity crisis due to cost pressure and related factors.

Challenges to Overcome

High Raw Material Costs: The cost of raw materials such as cotton and man-made fibers continues to
fluctuate, impacting profitability.

Infrastructure Gaps: Despite improvements, the textile industry still faces challenges related to infrastructure,
logistics, and outdated machinery in some regions.

Environmental Concerns: While sustainability is a growing trend, more efforts are needed to reduce water
and energy consumption in textile manufacturing.

6. FINANCE AND ACCOUNTS

The financial statements have been prepared in accordance with Indian Accounting Standards (Ind AS)
as per the Companies (Indian Accounting Standards) Rules, 2015 notified under section 133 of the
Companies Act, 2013, (the "Act") and other relevant provisions of the Act.

There is no auditor''s qualification in the financial statements for the year under review.

7. LISTING

The Equity Shares of your Company are listed at BSE Limited, Mumbai (BSE). The listing fees to the
Stock Exchange and custodian fees to depositories viz. NDSL and CDSL have been paid within time
by the Company.

8. CORPORATE GOVERNANCE

As per Regulation 17 of the Listing Regulation with the Stock Exchanges, a separate section on Corporate
Governance practices followed by the Company, together with a certificate from the Company''s Auditors
confirming compliance forms an integral part of this Reports Annexure 4 (Page No. 31).

9. EXTRACT OF ANNUAL RETURN

The copy of MGT 7- Annual Return as required under Section 92 of the Companies Act, 2013, is placed
in the web site of the Company (relating to financial year 2024), the web link is www.maris.co.in. The
current year MGT 7 will be displayed in the web site after the form has been filed with MCA.

10. SHARE CAPITAL

The company''s paid-up capital as on 31-3-2025 was 7924760 Equity Shares of Rs. 10 each amounting
to Rs. 7,92,47,600/- after taking into account forfeiture of 247600 Equity Shares of Rs. 10 each.

11. DIRECTORS

During the year no change in the directors and same directors are continuing. Mr. T Jayaraman, Director
is retiring by rotation and being eligible for reappointment offer himself for re-appointment.

12. BOARD EVALUATION

During the year, a formal process for annual evaluation of performance of Board, its committees and
directors was carried out as per the criteria laid down by the Nomination and Remuneration Committee,
pursuant to the provisions of the Companies Act, 2013 (C A 2013) and Clause 49 of the Listing
Agreement as applicable at that time.

The criteria of evaluation of Board and its Committees were founded on the structure, composition, Board
Management relationship, effectiveness in terms of roles and responsibilities and processes encompassing
the information flow and functioning. The guiding standards for the assessment of performance of
Directors (including the independent Directors) their attendance and participation at Board Meetings,
sharing of their relevant domain expertise and net workings in other forums, the strategic inputs and
demonstration towards governance compliances.

For evaluation of performance of the Chairman additional aspects like Institutional image buildings,
proving guidance on strategy and performance, maintaining an effective and healthy relationship between
the Board and the Management were taken into consideration. The evaluation was carried out through
a structured methodology approved by the Nomination and Remuneration Committee after ensuring that
the aspects under each of the laid down criteria are comprehensive and commensurate with the size of
the Board and the Committee.

13. KEY MANAGERIAL PERSONNEL

The following are the key managerial personnel of the Company:

Sr No.	Name of the person	DIN	Designation	Remuneration paid during the FY 2024-25 (Rs. in Lakhs)
1	Mr. T Raghuraman	01722570	Managing Director With effect from 23.09.2023	12.00
2.	Mr. A.Harigovind	06428975	Wholetime Director and Chief Financial Officer	NIL
3.	Mr. Adithya Raghuraman	08172745	Wholetime Director	13.50
4.	Mr. N Sridharan		Company Secretary and Compliance Officer	4.20

14. NUMBER OF MEETINGS OF THE BOARD

During the year six meetings of the Board of Directors were held on 29th May 2024, 09th August 2024,
29th August 2024, 9th November 2024, 12th February 2025 & 28th March 2025.

15. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS BY COMPANY

Details of Loans (nil) Guarantees (nil) and Investments covered under the provisions of Section 186
of the Companies Act, 2013 during the year 2024-25 are given in the notes to Financial Statements.

16. SUBSIDY RECEIVED FROM THE GOVERNMENT

The Company has received the sanction from the Karnataka Government towards Capital subsidy of
Rs. 7.17 Crs vide sanction letter dated 19.08.2024 and interest subsidy of Rs.2.33 Crs vide sanction
letter dated 25.02.2025. Part amount has been received the details thereof are given in the notes to
the accounts (Ref. Note 11)

17. WHISTLE BLOWER POLICY

The Company has a whistle blower policy to report genuine concerns or grievances.

18. RELATED PARTY TRANSACTIONS

All transactions entered with Related Parties for the year under review were on arm''s length basis and
in the ordinary course of business and that the provisions of Section 188 of the Companies Act, 2013
are not attracted. Thus, disclosure in form AOC - 2 is not required. Further, there are no material related
party transactions during the year under review with the promoters, Directors or Key Managerial
Personnel.

The Company has developed a Related Party Transactions framework through Standard Operating
Procedures for the purpose of identification and monitoring of such transactions.

All Related Party Transactions are placed before the Audit Committee as also to the Board for approval.
Omnibus approval was obtained on a quarterly basis for transactions which are of repetitive nature.
Transactions entered into pursuant to Omnibus approval are audited by the Risk Assurance Department
and a statement giving details of all Related Party Transactions are placed before the Audit Committee
and Board for review and approval on a quarterly basis.

19. DIRECTOR''S RESPONSIBILITY STATEMENT

To the best of knowledge and belief and according to the information and explanations obtained by them,
your Directors make the following statements in terms of Section 134 (3) (c) of the Companies Act,
2013.

(i) that in the preparation of the Annual Accounts for the year ended March 31, 2025, the applicable
accounting standards have been followed along with proper explanation relating to material departures,
if any and applied them consistently and made judgements and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of the Company as at March 31,
2025 and of the profit of the Company for the year ended on that date.

(ii) that the Directors have taken proper and sufficient care for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets
of the Company and for preventing and detecting fraud and other irregularities;

(iii) the annual accounts have been prepared on a going concern basis;

(iv) that the Directors had laid down internal financial controls to be followed by the Company and
that such internal financial controls are adequate and were operating effectively; and

(v) that the Directors had devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems were adequate and operating effectively.

20. REMUNERATION POLICY

The Board has, on the recommendation of the Nomination & Remuneration Committee framed a policy
for selection and appointment of Directors, Senior Management and their remuneration. The Company''s
policy on appointment and remuneration including criteria for determining qualifications, positive
attributes and independence are provided in the Corporate Governance Report forming part of this
Report. The policy is given as Annexure 2 (Page No. 37).

21. AUDITORS

a. STATUTORY AUDITORS

M/s Raghavan, Chaudhuri & Narayanan Chartered Accountants, Bengaluru (Firm Registration No:
007761S) were appointed as Statutory Auditor of the Company for a period of 5 (Five) consecutive
financial years, from the conclusion of the 44th Annual General Meeting of the Company in the year
2023 until the conclusion of the 48th Annual General Meeting of the Company in the year 2027 at a
remuneration to be fixed by the Board of Directors.

b. COST AUDITOR

As per the requirement of Central Government and pursuant to Section 148 of the Companies Act, 2013
read with the Companies (Cost Records and Audit) Rules, 2014 as amended from time to time, your
Company has been carrying out audit of cost records relating to textile mill every year.

The Board of Directors, on the recommendation of Audit Committee, has appointed M/s. A.Gopala
Iyengar, Cost Accountants as Cost Auditor to audit the cost accounts of the Company for the financial
year 2025-26. As required under the Companies Act, 2013, a resolution seeking member''s approval for
the remuneration payable to the Cost Auditor forms part of the Notice convening the Annual General
Meeting. The Board recommends their appointment as an ordinary resolution.

c. SECRETARIAL AUDITOR

Pursuant to the provisions of Section 204 of the Companies Act, 2013 and rules made thereunder, the
Secretarial Audit Report for the year 2024-25 issued by Mr. Sankararamann Practicing Company
Secretary is included as Annexure 3 (Page No. 42) and forms an integral part of this Report.

As per LODR 2015 regulations, Mr. V.K. Shankararamann, Company Secretary in Practice (PCS.No.
5255) being appointed as practicing company secretary for a period of 5 years from 1-4-2025 to
31-3-2030 (Financial year 25-26 to financial year 2029-2030) to undertake the Secretarial Auditor of
the Company and resolution is included in the Notice of Annual General meeting for the approval of
the shareholders.

There is no secretarial audit qualification for the year under review.

22. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

Your Company has an effective internal control and risk-mitigation system, which is constantly assessed
and strengthened with new/revised standard operating procedures. The Company''s internal control system
is commensurate with its size, scale and complexity of its operations. The internal and operational audit
is entrusted to M/s S.N.S. Associates, Chennai and Ms. B Romi Vincy, Trichy, a reputed firm of Chartered
Accountants. The main thrust of internal audit is to test and review controls, appraisal of risks and
business processes, besides benchmarking controls with best practices in the industry.

The Audit Committee of the Board of Directors actively reviews the adequacy and effectiveness of the
internal control systems and suggests improvements to strengthen them. The Company has a robust
Management Information System, which is an integral part of the control mechanism.

The Audit Committee of the Board of Directors, Statutory Auditors and the Business Heads are
periodically apprised of the internal audit findings and corrective actions taken. Audit plays a key role

in providing assurance to the Board of Directors. Significant audit observations and corrective actions
taken by the management are presented to the Audit Committee of the Board.

23. RISK MANAGEMENT

The risk management framework defines the risk management approach of the Company and includes
periodic review of such risks and also documentation, mitigating controls and reporting mechanism of
such risks.

Some of the risks that the Company is exposed to are:

Financial Risks

Given the interest rate fluctuations, the Company has adopted a prudent and conservative risk mitigation
strategy to minimize interest costs.

Commodity Price Risks

The Company is exposed to the risk of price fluctuation of raw materials as well as finished goods. The
Company proactively manages these risks through inventory management and proactive vendor development
practices. The Company''s reputation for quality, product differentiation and service, coupled with
existence of powerful brand image with robust marketing network mitigates the impact of price risk on
finished goods.

Regulatory Risks

The Company is exposed to risks attached to various statutes and regulations including the Competition
Act. The company is mitigating these risks through regular review of legal compliances.

Human Resource Risks

Retaining the existing talent pool and attracting new talent are major risks.

The Company has initiated various measures including rolling out strategic talent management system,
training and integration of learning and development activities.

24. CORPORATE SOCIAL RESPONSIBILITY (CSR)

As the company incurred losses for the financial year 2024-25, the compliance under CSR is not
applicable for the year under review.

25. ENVIRONMENT AND SAFETY

The Company is conscious of the importance of environmentally clean and safe operations. The Company''s
policy requires conduct of operations in such a manner, so as to ensure safety of all concerned,
compliances environmental regulations and preservation of natural resources.

26. PROCEEDING UNDER INSOLVENCY AND BANKRUPTCY CODE 2016

There are no proceedings either filed by the Company or against the Company pending under the
Insolvency and Bankruptcy Code 2016 as amended before the National Company Law Tribunal or other
Courts as on 31 March 2025.

27. PUBLIC DEPOSITS

During the year under review your company has not accepted any public deposits under Chapter V of
the Companies Act, 2013.

28. HUMAN RESOURCES AND INDUSTRIAL RELATIONS

The Company takes pride in the commitment, competence and dedication shown by its employees in
all areas of business.

The Company has a structured induction process at all locations and management development programs
to upgrade skills of managers. Objective appraisal systems based on Key Result Areas (KRAs) are in
place for senior management staff.

The Company is committed to nurturing, enhancing and retaining top talent through Superior Learning
& Organizational Development. This is a part of Corporate HR function and is a critical pillar to support
the organization''s growth and its sustainability in the long run.

29. COMPOSITION OF AUDIT COMMITTEE

The details pertaining to the composition of the Audit Committee is as under and is also included in
the Corporate Governance Report. The present Director / Member are given below:

The details of Audit Committee are as under and also included in the Corporate Governance Report.
The present Director / Member are given below:

NAME OF DIRECTOR/MEMBER

Sri. S. Kalyanaraman - Chairman
Sri . S. Swaminathan.

Sri. Parag H Udani

30. COMPOSITION OF NOMINATION AND REMUNERATION COMMITTEE

The Nomination and Remuneration Committee is re-constituted with effect from 29.03.2024 and the
details are as under and also included in the Corporate Governance Report. The present Director /
Member are given below:

NAME OF DIRECTOR/MEMBER

Sri. Parag H Udani - Chairman

Sri. S. Swaminathan

Sri. S. Kalyanaraman

Sri. T Jayaraman

Smt. Ananthakumar Dhamayanthi

31. COMPOSITION OF STAKE HOLDERS RELATIONSHIP COMMITTEE

The Stake Holders Relationship Committee was reconstituted with effect from 14.05.2022 and the details
are as under and also included in the Corporate Governance Report. The present Director / Member
are given below:

NAME OF DIRECTOR/MEMBER

Sri. S. Swaminathan - Chairman

Sri. Parag H Udani

Sri. S. Kalyanaraman

Sri. A. Harigovind

Sri. Adithya Raghuraman

32. PREVENTION OF INSIDER TRADING

The Company is having a code for prevention of Insider Trading with a view to regulate the trading
in securities by the Directors and designated employees of the Company. The code requires pre-clearance
of for dealing in the company''s shares and prohibits the purchase or sale company''s shares by the
Directors and designated employees while in possession of unpublished price sensitive information in
relation to the Company.

33. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS

During the year under review, no significant material orders were passed by the regulators or courts
or tribunals impacting the going concern status and future operations of the Company.

34. STATUTORY INFORMATION

The information on conservation of energy, technology absorption and foreign exchange earnings and
outgo pursuant to Section 134 (3) (m) of the Companies Act, 2013, read with the Rule 8 (3) of the
Companies (Accounts) Rules, 2014 is given in Annexure to this Report.

The information required under Section 197 (12) of the Companies Act, 2013 read with Rule 5(1) of
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 and forming part
of the Director''s Report for the year ended March 31, 2025 is given in a separate Annexure to this Report.

The statement containing information as required under Rule 5(2) and (3) of the Companies (Appointment
and Remuneration of Managerial Personnel) Rules, 2014 forms part of this Annual Report. The annual
Report 2024-25 is being sent to the shareholders through email. Any shareholder interested in obtaining
the hard copy of the same write to the Company Secretary at the Registered Office of the Company.

35. Disclosures as per the Sexual Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act, 2013

The Company has zero tolerance for sexual harassment at its workplace and has adopted a Policy on
prevention, prohibition and redressal of sexual harassment at the work place in line with the Provisions
of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013,
and the Rules there under for prevention and redressal of complaints of sexual harassment at workplace.
The following is a summary of sexual harassment complaints received and disposed off during the year
2024-25;

1. Number of complaints received during the year - Nil

2. No of complaints disposed off - Nil

The Company has not accepted any deposits, within the meaning of Section 73 of the Companies Act, 2013,
read with the Companies (Acceptance of Deposits) Rules, 2014.

Acknowledgement

Your Directors thank the Banks, Customers, Government Authorities, Suppliers and Shareholders for their
support. Your directors also place on record their appreciation for the committed services by the employees
of the Company.

By Order of the Board

T. RAGHURAMAN T. JAYARAMAN

Managing Director Director

[DIN 01722570] [DIN 01402853]

Place : Chennai N. SRIDHARAN

Date : 01.08.2025 Company Secretary

and Compliance Officer
FCS 1646

---

Mar 31, 2024

xii. Provisions

A provision is recorded when the Company has a present legal or constructive obligation as a result of past events
and it is probable that an outflow of resources will be required to settle the obligation and the amount can be
reasonably estimated. The estimated liability for product warranties is accounted based on technical evaluation,
when the products are sold. Provisions are evaluated at the present value of management''s best estimate of the
expenditure required to settle the present obligation at the end of the reporting period. The discount rate used
to determine the present value is a pre-tax rate that reflects current market assessments of the time value of money
and the risks specific to the liability. The increase in the provision due to the passage of time is recognised as
interest expenses.

xiii. Earnings per share

"The basic Earnings / (loss) per share is computed by dividing the net profit/ (loss) attributable to owners of the
Company for the year by the weighted average number of equity shares outstanding during the reporting period.

The number of shares used in computing diluted earnings/ (loss) per share comprises of weighted average shares
considered for deriving basic earnings/ (loss) per share and also the weighted average number of equity shares
which could have been issued on the conversion of all dilutive potential equity shares. Dilutive potential equity
shares are deemed converted as of the beginning of the reporting date, unless they have been issued at a later
date. In computing diluted earnings per share, only potential equity shares that are dilutive and which either reduces
earnings per share or increase loss per share are included."

Note 1- Term Loan for purchase of machinery at Unit 2 from Karnr Vyasa Bank Ltd.

(37 monthly instalments after a holiday period of 6 months. Monthly interest to be serviced as and when
debited)

(First Charge on the Land and building and other fixed assets of the company at Unit II Manapparai and
Second charge on the land and building and other fixed assets of the Unit I of the company situated at mysore
along with Indian Overseas Bank)

Note 2- To meet capital requirements as guaranteed by the Government of India, due to Covid 19 pandemic availed
from Karur Vyasa Bank Ltd.

Terms of Repayment - One year Moratarium and three year repayment - 36 monthly instalments of Rs.
5,84,574/- per month starting from November 2021.

Note 3- First Charge on the Land and building and other Fixed assets of the company at Unit II at Mannapparai and
Second charge on the Land and building and other fixed assets of the Unit I of the company situated at Mysore
along with Indian Overseas Bank. Pari Passu Second Charge on the Land and Buildings and other Fixed Assets
of Unit 1 of the Company situated in the Factory at Hunsur, Mysore District, along with Indian Overseas
Bank.

Terms of Repayment - 78 monthly instalments of Rs. 14,67,949/- per month starting from August 2023.
Note 4- To meet capital requirements as guaranteed by the Government of India, due to Covid 19 pandemic availed
from Karur Vyasa Bank Ltd.

Terms of repayment - Two year moratorium and three year repayment. 36 monthly instalments of
Rs. 5,50,000/- per month starting from December 2024.

Note 5- Term Loan availed for Installation of Auto Doffer Machineries from Karur Vysya Bank for Unit II Manapparai.

Terms of Repayment - Six months of Moratarium and five & half years of repayment - 66 monthly instalments
of Rs.5,96,729/- per month starting from August 2024.

Note 6- Term availed for purchase of car from Indian Overseas Bank Ltd.

Terms of Repayment - 36 monthly instalments of Rs. 46,694/-. Per month starting from November 2021.
Note 7- Term loan availed for purchase of machinery and construction of factory building for expansion/modernisation
at Unit 1 - Hunsur from Indian Overseas Bank.

Terms of repayment - 84 monthly instalments of Rs. 24,40,476/- per month starting from November 2022.
Note 8- Term loan availed for purchase of machinery and construction of factory building for expansion/modernisation
at Unit 1 - Hunsur from Indian Overseas Bank.

Terms of repayment - 84 monthly instalments of Rs. 4,16,700/- per month with a holiday period of 12 months.
Repayment starting from December 2023.

Note 9- To meet capital requirements as guaranteed by the Government of India, due to Covid 19 pandemic availed
from Indian Overseas Bank Ltd

Terms of Repayment - One year Moratarium and three year repayment - 36 monthly instalments of
Rs. 10,00,551/- per month starting from November 2021.

Note 10- To meet capital requirements as guaranteed by the Government of India, due to Covid 19 pandemic availed
from Indian Overseas Bank Ltd

Terms of Repayment - Two year Moratarium and three year repayment - 36 monthly instalments of
Rs. 7,77,778/- per month starting from December 2023.

Note 11- Loan Against Fixed Deposit provided by the Indian Overseas Bank Repayment due on 16th July 2024

Note 12- Term Loan availed for long term working capital requirement of the company at Unit 1 - Hunsur from Karur
Vysya Bank.

Terms of Repayment - One year Moratarium and Five year repayment - 60 monthly instalments of
Rs. 25,00,000/- per month starting from December 2024.

Note 31 - EPS
Earnings Per Share

Basic earnings per share (EPS) amounts are calculated by dividing the profit for the year attributable to equity holders
of the Company by the weighted average number of equity shares outstanding during the year.

The following reflects the income and share data used in the basic EPS computations:

Note 32 - Capital Management

The Company’s objectives of capital management is to maximize the shareholder value. The Company manages its capital
structure and makes adjustments in light of changes in economic conditions and the requirements of the financial
covenants.

The Company monitors capital using a gearing ratio, which is net debt divided by total equity plus net debt as below.
Equity includes equity share capital and all other equity components attributable to the equity holders
Net debt includes borrowings (non-current and current), trade payables and other financial liabilities, less cash and cash
equivalents (including bank balances other than cash and cash equivalents and margin money deposits with banks)

In order to achieve the objective of maximize shareholders value, the Company’s capital management, amongst other
things, aims to ensure that it meets financial covenants attached to the interest-bearing borrowings that define capital
structure requirements. Any significant breach in meeting the financial covenants would allow the bank to call borrowings.
There have been no breaches in the financial covenants of above-mentioned interest-bearing borrowing.

No changes were made in the objectives, policies or processes for managing capital during the current and previous
years.

Note 33 - Defined Benefit Plan - Gratuity

The Company operates defined gratuity plan for its employees. Under the plan, every employee who has completed atleast
five years of service gets a gratuity on departure at 15 days of last drawn salary for each completed year of service.
The scheme is funded with LIC in the form of qualifying insurance policy.

The following tables summarize the components of net benefit expense recognized in the statement of profit and loss
and the funded status and amounts recognized in the balance sheet for gratuity.

(i) Fair value hierarchy

This section explains the judgements and estimates made in determining the fair values of the financial instruments that
are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed
in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value,
the group has classified its financial instruments into the three levels prescribed under the accounting standard. An
explanation of each level follows underneath the table.

Note - 35 - Financial risk management

The company’s activities expose it to market risk, liquidity risk and credit risk. This note explains the sources of risk
which the entity is exposed to and how the entity manages the risk and the impact of hedge accounting in the financial
statements.

The bank overdraft facilities may be drawn at any time and may be terminated by the bank without notice. Subject to
the continuance of satisfactory credit ratings, the bank loan facilities may be drawn at any time in INR and have an
average maturity ranging from 30 to 180 days.

(ii) Maturities of financial liabilities

The tables below analyses the Company’s financial liabilities into relevant maturity groupings based on their
contractual maturities for:

a) all non-derivative financial liabilities, and

b) net and gross settled derivative financial instruments for which the contractual maturities are essential for an
understanding of the timing of the cash flows.

Note - 36: Other Notes to Accounts
a) Taxes on Income and Deferred Taxes :

The Company has not made any provision for Income Tax for the year, since the company has incurred loss during
the year.

The Deferred T ax Expenses of Rs. 383.85 lakhs- has been credited to the Profit and Loss Account and correspondingly
Deferred Asset (Net) amounting to Rs.728.81 lakhs have been disclosed in the Balance Sheet as at 31-03-2024.
The disclosure of the same is as follows:

b) Cash Flow Statement:

The statement of cash flow is prepared under "Indirect Method" and the same is annexed.

c) Events occurring after the date of Balance Sheet:

There are no events occurring after the date of the Balance Sheet, which has a material effect on the accounts.

d) Dues to Micro, Small and Medium enterprises:

Note: The information as required to be disclosed under The Micro, Small and Medium Enterprises Development
Act, 2006 is determined to the extent such parties have been identified on the basis of the certificates shared by
the supplier to the company. Further in view of the Management, the impact of interest, if any, that may be payable
in accordance with the provisions of the Act is not expected to be material. The Company has not received any
claim for interest from any supplier as at the balance sheet date.

e) Inventories

• Cost Comprises expenditure incurred in the normal course of business in bringing such inventories to its
location and includes, where applicable, appropriate overheads based on normal level of activity.

h) Related party disclosure:

Key management personnel are those persons having authority and responsibility for planning, directing and
controlling the activities of the entity, directly or indirectly, including any director whether executive or otherwise.
Key management personnel include the board of directors and other senior management executives.

The disclosure required to be made as per Indian Accounting Standard - 24 "Related Party Disclosure" has been
furnished separately as an Annexure 4 (Page No. 50) to this report.

i) Earnings Per Share:

Basic earnings per share have been calculated by dividing profit for the year attributable to equity shareholders,
by the weighted average number of equity shares outstanding during the year. The company has not issued any
potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

j) Segment Reporting:

The Company operates two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu.
However, as the products manufactured by both the units are same and as the risks and rewards attached to the
operations of both the units are not significantly different treating each unit as separate segment for purpose of
applicability of Indian Accounting Standard - 108 does not arise.

k) Contingent Liability:

a. An amount of Rs.8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board
Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the
demand and energy quota during the period November & December’08 to July 2009. The company had
remitted the amount and the matter had been disputed before the Appellate Tribunal for Electricity (APTEL),
New Delhi and the same has been decided in our favour and the Electricity Department has gone on an
appeal to the Supreme Court. The company is confident of obtaining complete relief in the Apex court there
by confident of getting refund of above amount

b. E-Tax on maximum demand charges which was levied in monthly CC Bill by Tamil Nadu Generation and
Distribution Corporation (TANGEDCO) was paid by the Company till September’2012. In view of an interim
order passed by the Hon’ble Supreme Court staying the procedure of leaving E-Tax on maximum demand
charges on 12/10/2012 responding to the SLP filed by SIMA (SLP (C) NO.31039 of 2012), the company
has not been paying E-tax for the maximum demand charges since October’2012.

The accrued E-Tax amount till March’2024 was Rs.35,88,255/-. As the case has been pending before the
Apex court and SIMA is confident of getting order in favor of its member mills, no provision has been
made in the books of accounts towards the same.

c. TANGEDCO has issued a show cause notice dated 20/04/2017 on the company, informing its intention to
levy Cross Subsidy Surcharge on the Company for an amount of Rs.5,44,94,998/- in connection with non¬
fulfilling of Captive Generating status for the Financial Year 2014-15,2015-16 and 2016-17. The Company
has filed its response to the show cause notice on 04/05/2017 where it has contested the claim of TANGEDCO.

As the move initiated by TANGEDCO on all H.T. Consumers as well as the Power Generating and Supplying
Plants was not maintainable as per the Central Electricity Rules 2005 the Hon’ble High Court of Madras
has directed TNERC to ascertain the status on the above and also stayed TANGEDCO from taking any action
based on its correspondences issued to the consumer on the above matter. The Company is confident of
obtaining complete relief in the matter and hence no provision is required to be made in the books of the
Company.

d. An amount of Rs.50,72,007/- on account of Deemed Demand has been stayed by an interim order granted
by Hon’ble Madurai Bench of Madras High Court in WP (MD) No.16278 of 2015 and MP (MD) No.2
of 2015 dated 08/09/2015. Mills have paid only 50% of Deemed Demand Benefit Charges to TANGEDCO
for the units purchased from ARS Energy Pvt. Ltd., thro’ GCP under Open Access during the period
August’2015 to March’2020 and hence the remaining 50% of the Deemed Demand Benefit Charges
amounting to Rs.50,72,007/- was not paid.

Hence, the mills are entitled to get the refund of Rs.50,72,007/- if it succeeds with the writ filed or liable
to pay the balance Deemed Demand Benefit Charges of Rs.50,72,007/- in case of the writ appeal filed by
the TANGEDCO is allowed.

l) Dividend:

Company has not declared any dividend for the year.

m) Financial instruments - fair value measurement

a. Accounting classifications and fair values

The Company does not have any financial assets or financial liabilities whose fair value is different from its carrying
amount.

n) Financial instruments - risk management

The Company has exposure to the following risks arising from financial instruments:

- credit risk (refer note (b) below)

- liquidity risk (refer note (c) below)

- market risk (refer note (d) below).

a. Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the Company’s
risk management framework. The Company’s risk management policies are established to identify and analyse
the risks faced by the Company, to set appropriate risk limits and controls and to monitor risks and adherence
to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions
and the Company’s activities. The Company, through its training and management standards and procedures, aims
to maintain a disciplined and constructive control environment in which all employees understand their roles and
obligations.

b. Credit risk

"Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument
fails to meet its contractual obligations, and arises principally from the Company''s receivables from customers,
loans to related parties and cash and cash equivalents.

The carrying amount of financial assets represents the maximum credit exposure."

(i) Cash and cash equivalents

The Company holds cash and cash equivalents of Rs.28.84 Lakhs as at 31 March 2024. The cash and cash
equivalents are mainly held with nationalised banks which have a very low risk of default.

c. Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with
its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to
managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when
they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage
to the Company''s reputation.

i) Financing arrangement

The Company had no undrawn borrowing facilities at the end of the reporting period.

d. Market risk

"Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity
prices, which will affect the Company''s income or the value of its holdings of financial instruments. The objective
of market risk management is to manage and control market risk exposures within acceptable parameters, while
optimising the return."

i) Currency risk

Majority of the transactions entered into the company are denominated in INR. Accordingly, the company
does not have any currency risk.

ii) Interest rate risk

The Company does not have any borrowings from external banks/agency and hence there are no interest
rate risks.

o) The Company has not made any transactions with struck off Companies.

For and on behalf of the Board ^As P^{er our} report annexed

For RAGHAVAN, CHAUDHURI & NARAYANAN
^For M^AR|S SP^|NNE^RS L^|M^|TE^D Chartered Accountants

Firm Regn. No. 007761S

T RAGHURAMAN T.JAYARAMAN A HARIGOVIND N SRIDHARAN ASHOK RAGHAVAN

Managing Director Director Wholetime Director and Company Secretary Partner

[DIN No. 01722570] [DIN No. 01402853] Chief Financial Officer and Compliance Officer Membership No.: 203327

Place : Chennai [DIN No. 06428975] FCS 1646 Bengaluru

Date : 29th May 2024 29th May 2024

---

Mar 31, 2018

Note - 1: Significant Accounting Policies

1. Accounting Convention:

These financial statements have been prepared in accordance with Indian Accounting Standards (Ind AS) as per the Companies (Indian Accounting Standards) Rules, 2015 notified under section 133 of the Companies Act, 2013, (the "Act") and other relevant provisions of the Act.

The financial statements up to and for the year ended 31 March 2018 were prepared in accordance with the Companies (Accounting Standards) Rules 2015, notified under section 133 of the Act and other provisions of the Act.

2. Statement of Compliance

The Financial Statements comprising Balance Sheet, Statement of changes in Equity, Cash Flow statement, together with notes for the year ended March 31, 2018 have been prepared in accordance with Ind AS as notified.

3. Functional and presentation currency:

These financial statements are presented in Indian Rupees, which is also the Company''s functional currency. All the amounts have been rounded- off to the nearest rupees, unless otherwise indicated.

4. Basis of measurement

The financial statements have been prepared on the historical cost basis except for certain financial assets and financial liabilities to the extent applicable are measured at fair values.

5. Measurement of Fair Values:

A number of Company''s accounting policies and disclosures require a measurement of their fair value, for both financial and non-financial assets and liabilities.

The Company has an established control framework with respect to the measurement of fair values. This includes periodic review of all significant fair value measurement, including level 3 fair values.

The management regularly reviews significant unobservable inputs and valuation adjustments.

When measuring the fair value of an asset or a liability, the Company uses observable market data as far as possible. If the inputs used to measure the fair value of an asset or a liability fall into different levels of the fair value hierarchy, then the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement.

The Company recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during which the changes has occurred

6. Use of estimates and judgments:

"In preparing these financial statements, management has made judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized prospectively."

a) Judgments

Information about judgments in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements are disclosed in financial statement wherever necessary:

b) Assumptions and estimations uncertainties

Information about assumptions and estimation uncertainties that have a significant risk of resulting in a material adjustment in the financial year ending 31 March 2018 are disclosed in financial statement wherever necessary:

7. Significant accounting policies:

This note provides a list of the significant accounting policies adopted in the preparation of these financial statements. These policies have been consistently applied to all the years presented, unless otherwise stated.

(i) Impairment of Assets:

a. Impairment of financial instruments

"The Company recognizes loss allowances for expected credit losses on:

- financial assets measured at amortized cost;"

At each reporting date, the Company assesses whether financial assets carried at amortized cost and debt investments at FVCOI are credit-impaired. A financial asset is ''credit-impaired'' when one or more events that have a detrimental impact on the estimated future cash flows of the financial asset have occurred.

"Evidence that a financial asset is credit - impaired includes the following observable data:

- Significant financial difficulty of the borrower or issuer;

- a breach of contract such as a default or being past due for 365 days or more;

- The restructuring of a loan or advance by the Company on terms that the Company would not consider otherwise;

- It is probable that the borrower will enter bankruptcy or the other financial reorganization; or

- the disappearance of an active market for a security because of financial difficulties"

"The Company measures loss allowances at an amount equal to lifetime expected credit losses, except for the following, which are measured as 12 month expected credit losses:

- Debt securities that are determined to have low credit risk at the reporting date; and

- other debt securities and bank balances for which credit risk (i.e. the risk of default occurring over the expected life of the financial instrument) has not increased significantly since initial recognition."

"Loss allowances for trade receivables are always measured at an amount equal to lifetime expected credit losses. Lifetime expected credit losses are the expected credit losses that result from all possible default events over the expected life of a financial instrument.

12-months expected credit losses are the portion of expected credit loss that result from default events that are possible within 12 months after the reporting date (or a shorter period if the expected life of the instrument is less than 12 months).

In all cases, the maximum period considered when estimating expected credit losses is the maximum contractual period over which the Company is exposed to credit risk."

When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating expected credit losses, the Company considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Company''s historical experience and informed credit assessment and including forward-looking information.

"The Company assumes that the credit risk on a financial asset has increased significantly if it is more than 180 days past due.

The Company considers a financial asset to be in default when:

- The borrower is unlikely to pay its credit obligations to the Company in full, without recourse by the Company to actions such as realizing security (if any is held); or

- the financial asset is 365 days or past due."

Measurement of expected credit losses

Expected credit losses are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the Company in accordance with the contract and the cash flows that the Company expects to receive).

Presentation of allowance for expected credit losses in the balance sheet

Loss allowances for the financial assets measured at amortized cost are deducted from the gross carrying amount of assets.

Write-off

The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no realistic prospect of recovery. This is generally the case when the Company determines that the debtor does not have assets or sources of income that could generate sufficient cash flows to repay the amounts subject to the write-off. However, financial assets that are written off could still be subject to enforcement activities in order to comply with the Company''s procedures for recovery of the amounts due."

b. Impairment of non-financial assets

The Company''s non-financial assets and deferred tax asset, are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset''s recoverable amount is estimated. For impairment testing, assets that do not generate independent cash inflows are grouped together into cash-generating units (CGUs). Each CGU represents smallest group of assets that generates cash inflows that are largely independent of the cash inflows or other assets or CGUs.

The recoverable amount of a CGU (or an individual asset) is the higher of its value in use or its fair value less costs to sell. Value in use is based on the estimated future cash flows, discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the CGU (or the asset).

"The Company''s corporate assets do not generate independent cash inflows. To determine impairment of a corporate asset, recoverable amount is determined for the CGUs to which the corporate asset belongs.

An impairment loss is recognized if the carrying amount of an asset or CGU exceeds its estimated recoverable amount. Impairment losses are recognized in the statement of profit and loss. Impairment losses recognized in respect of a CGU is allocated first to reduce the carrying amount of any goodwill allocated to the CGU, and then to reduce the carrying amounts of the other assets of the CGU (or group of CGUs) on a pro rata basis."

In respect of assets for which impairment loss has been recognized in prior periods, the Company reviews at each reporting date whether there is any indication that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. Such a reversal is made only to the extent that the asset''s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss has been recognized.

ii. Revenue recognition

"Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured, regardless of when the payment is being made. Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment, net of taxes or duties collected on behalf of the government.

The specific recognition criteria described below must also be met before revenue is recognized."

Recognition of dividend income, interest income or expense

a) Dividend income

Dividends are recognized in profit or loss on the date on which the Company''s right to receive payment is established.

b) Interest income or expense

"Interest income or expense is recognized using the effective interest rate method.

The effective interest rate is the rate that exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument to:

- the gross carrying amount of a financial asset; or

- the amortized cost of financial liability.

In calculating interest income and expense, the effective interest rate is applied to the gross carrying amount of the asset (when the asset is not credit impaired) or to the amortized cost of the liability. However, for financial assets that have become credit-impaired subsequent to initial recognition, interest income is calculated by applying the effective interest rate to the amortized cost of the financial asset. If the asset is no longer credit-impaired, then the calculation of interest income reverts to the gross basis."

c) Financial Instruments

I. Recognition and initial measurement

Trade receivables and debt securities issued are initially recognized when they are originated. All other financial assets and financial liabilities are initially recognized when the Company becomes a party to the contractual provisions of the instrument.

A financial assets or financial liability is initially measured at fair value plus, for an item not at fair value through profit and loss (FVTPL), transaction costs that are directly attributable to its acquisition or issue.

II. Classification and subsequent measurement Financial assets

On initial recognition, a financial asset is classified as measured at,

- amortized cost

- Fair value through other comprehensive income (FVOCI) - debt investment;

- Fair value through other comprehensive income (FVOCI) - equity investment; or

- Fair value through profit & loss- (FVTPL)

Financial assets are not reclassified subsequent to their initial recognition, except if and in the period the Company changes its business model for managing financial assets.

A financial asset is measured at amortized cost if it meets both the following conditions and is not designated as at FVTPL:

- the asset is held within a business model whose objective is to hold assets to collect contractual cash flows; and

- the contractual terms of the financial asset give rise on specific dates to cash flows that are solely payments of principal and interest on the principal amount outstanding

A debt instrument is measured at FVOCI if it meets both of the following conditions and is not designated as at FVTPL:

- the asset is held in a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and

- the contractual terms of the financial asset give rise on specific dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

On initial recognition of an equity investment that is not held for trading, the Company may irrecoverably elect to present subsequent changes in investment''s fair value in OCI (designated as FVOCI - equity investment). The election is made on an investment-by-investment basis.

All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. This includes all derivative financial assets. On initial recognition, the Company may irrevocably designate a financial asset that otherwise meets the requirements to be measured at amortized cost or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise

Financial assets: Business model assessment

The Company makes an assessment of the objective of the business model in which a financial asset is held at a portfolio level because this best reflects the way the business is managed and information is provided to the management.

The information considered includes:

- the stated policies and objectives for the portfolio and the operation of those policies in practice. These include whether management''s strategy focuses on earning contractual interest income, maintaining a particular interest rate profile, matching the duration of the financial asset to the duration of any related liabilities or expected cash outflows or realizing cash flows through the sale of the assets;

- how the performance of the portfolio is evaluated and reported to the Company''s management;

- The risk that effects the performance of the business model (and the financial asset held within that business model) and how those risks are managed;

- how managers of the business are compensated - e.g. whether compensation is based on the fair value of the assets managed or the contractual cash flows collected; and

- the frequency, volume and timing of sales of the financial assets in prior periods, the reasons for such sales and expectations about future sales activity .

Transfers of financial assets to third parties in transactions that do not qualify for de-recognition are not considered sales for this purpose, consistent with the Company''s continuing recognition of the assets.

Financial assets that are held for trading or are managed and whose performance is evaluated on fair value basis are measured at FVTPL.

Financial assets: Assessment whether contractual cash flows are solely payments of principal and interest.

For the purpose of this assessment, ''principal'' is defined as the fair value of the financial asset on initial recognition. ''Interest'' is defined as consideration for the time value of money and for credit risk associated with the principal amount outstanding during a particular period of time and for other basic lending risks and costs (e.g. liquidity risk and administrative costs), as well as profit margin.

To assess whether the contractual cash flows are solely payments of principal and interest, the Company considers the contractual terms of the instrument. This includes assessing whether the financial asset contains a contractual term that could change the timing or amount of contractual cash flows such that it would not meet this condition. In making this assessment, the Company considers:

- Contingent events that would change the amount or timing of cash flows;

- Terms that may adjust the contractual coupon rate, including variable interest rate futures;

- Prepayments and extension features; and

- Terms that limits the Company''s claim to cash flows from specified assets (e.g. non-recourse feature)

A prepayment feature is consistent with the solely payment of principal and interest criterion if the prepayment amount substantially represents unpaid amounts of principal and interest on the principal amount outstanding, which may include reasonable additional compensation for early termination of the contract. Additionally, for a financial asset acquired at a significant discount or premium to it contractual paramount, a feature that permits or requires prepayment at an amount that substantially represents the contractual par amount plus accrued (but unpaid) contractual interest (which may also include reasonable additional compensation for early termination) is treated as consistent with this criterion if the fair value of the prepayment feature is insignificant at initial recognition.

Financial assets: Subsequent measurement and gains and losses "Financial assets at FVTPL:

These assets are subsequently measured at fair value. Net gains and losses, including any interest or dividend income, are recognized in profit or loss. "

"Financial assets at amortized cost:

These assets are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on de-recognition is recognized in profit or loss."

Financial liabilities: Classification, subsequent measurement and gains and losses

Financial liabilities are classified as measured at amortized cost or FVTPL. A financial liability is classified as at FVTPL if it is classified as held-for-trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense and foreign exchange gains or losses are recognized in profit or loss. Any gain or loss on de-recognition is also recognized in profit and loss.

iii. De-recognition

Financial Assets

The Company de-recognizes a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all risks and rewards of ownership of the financial asset are transferred or in which the Company neither transfers nor retains substantially all of the risks and rewards of the ownership and does not retain control of the financial asset.

If the Company enters into transactions whereby it transfers assets recognized on its balance sheet, but retains either all or substantially all the risks and rewards of the transferred assets, the transferred assets are not derecognized.

Financial Liabilities

The Company de-recognizes a financial liability when the contractual obligations are discharged or cancelled, or expire.

The Company de-recognizes a financial liability when its terms are modified and the cash flows under the modified terms are substantially different. In this case a new financial liability based on the modified terms is recognized at fair value. The difference between the carrying amount of the extinguished liability and the new financial liability with modified terms is recognized in profit and loss.

iv. Offsetting

Financial assets and liabilities are offset and the net amount presented in the balance sheet when, and only when, the Company currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realize the asset and settle the liability simultaneously.

iii) Taxes

Income tax comprises current and deferred tax. It is recognized in profit or loss except to the extent that it relates to a business combination or to an item recognized directly in equity or in other comprehensive income.

Current tax

"Current tax comprises the expected tax payable or receivable on the taxable income or loss for the year and any adjustment to the tax payable or receivable in respect of previous years. The amount of current tax reflects the best estimate of the tax amount expected to be paid or received after considering the uncertainty, if any, related to income taxes. It is measured using tax rates (and tax laws) enacted or substantially enacted by the reporting date.

Current tax assets and current tax liabilities are offset only if there is a legally enforceable right to set off the recognized amounts, and it is intended to realize the asset and settle the liability on a net basis to simultaneously."

Minimum alternate tax (''MAT'')

MAT paid in a year is charged to the statement of profit and loss as current tax. The Company recognizes MAT credit available as an asset only to the extent that there is convincing evidence that the Company will pay normal income tax during the specified period, i.e., the period for which MAT credit is allowed to be carried forward. In the year in which the Company recognizes MAT credit as an asset in accordance with the Guidance Note on Accounting for Credit Available in respect of Minimum Alternative Tax under the Income tax Act, 1961, the said asset is created by way of credit to the statement of profit and loss and shown as ''MAT Credit Entitlement''. The Company reviews the ''MAT credit entitlement'' asset at each reporting date and writes down the asset to the extent the Company does not have convincing evidence that it will pay normal tax during the specified period.

Deferred tax

"Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for the financial reporting purposes and the corresponding amounts used for taxation purposes. Deferred tax is also recognized in respect of carried forward tax losses and tax credits. Deferred tax is not recognized for:

- temporary difference arising on the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit or loss at the time of the transaction;

- temporary differences related to investments in subsidiaries, associates and joint arrangements to the extent that the Company is able to control the timing of the reversal of the temporary differences and it is probable that they will not reverse in the foreseeable future."

Deferred tax assets are recognized to the extent that it is probable that future taxable profits will be available against which they can be used. The existence of unused tax losses is strong evidence that future taxable profit may not be available. Therefore, in any case of a history of recent losses, the Company recognizes a deferred tax asset only to the extent that it has sufficient taxable temporary differences or there is convicting other evidence that sufficient taxable profit will be available against which such deferred tax asset can be realized. Deferred tax assets

- unrecognized or recognized, are reviewed at each reporting date and are recognized/ reduced to the extent that it is probable/ no longer probable respectively that the related tax benefit will be realized.

"Deferred tax is measured at the tax rates that are expected to apply to the period when the asset is realized or the liability is settled, based on the laws that have been enacted or substantively enacted by the reporting date.

The measurement of the deferred tax reflects tax consequences that would flow from the manner in which the Company expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity, or on a different tax entities, but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be realized simultaneously."

iv) Provisions

A provision is recognized if, as a result of past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefit will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows (representing the best estimate of the expenditure requited to settle the present obligation at the balance sheet date) at a pre-fix rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognized as finance cost. Expected future operating losses are not provided for.

v) Earnings per share

"The basic loss per share is computed by dividing the net profit/ (loss) attributable to owners of the Company for the year by the weighted average number of equity shares outstanding during reporting period.

The number of shares used in computing diluted earnings/ (loss) per share comprises the weighted average shares considered for deriving basic earnings/ (loss) per share and also the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares.

Dilutive potential equity shares are deemed converted as of the beginning of the reporting date, unless they have been issued at a later date. In computing diluted earnings per share, only potential equity shares that are dilutive and which either reduces earnings per share or increase loss per share are included."

8. Recent accounting pronouncements

a) Standards issued but not yet effective

In March 2017, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2017, notifying amendments to Ind AS 7 "Statements of Cash Flows" and Ind AS 102 "Share Based Payment". These amendments are applicable to the Company from April 1, 2017.

Amendments to Ind AS 7:

"The amendment to Ind AS 7 requires the entities to provide disclosures that enable users of financial statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes, suggesting inclusion of a reconciliation between the opening and closing balances in the balance sheet for liabilities arising from financing activities, to meet the disclosure requirement.

The Company has evaluated the disclosure requirements of amendment and the effect on the financial statements is not expected to be material.

Amendments to Ind AS 102:

The above standard is not applicable to the Company.

9. Earnings per Share:

Basic Earnings per Share is computed by dividing net profit for the year attributable to the equity holders of the Company by the weighted average number of common stock outstanding during the period.

10.3 "The Company has issued only one class of shares referred to as Equity shares having a par value of Rs. 10 each

- Holder of Equity is entitled to one vote per share"

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amounts. However, no such preferential amounts exist currently other than loans from banks and financial institutions. The distribution of assets will be in proportion to the number of equity shares held by the shareholders.

Note - 24: Other Notes to Accounts

a) Taxes on Income and Deferred Taxes :

The Company has not made a provision for Income Tax for during the year based on the taxable income of the company for the year as per the provisions of Income Tax Act, 1961.

The Tax Savings of Rs. 56,69,190.00 has been credited to the Profit and Loss Account and correspondingly Deferred Tax Liability amounting to Rs. 1,27,00,457.00 has been disclosed in the Balance Sheet as at 31-03-2018. The disclosure of the same is as follows:

c) Events occurring after the date of Balance Sheet:

There are no events occurring after the date of the Balance Sheet, which has a material effect on the accounts.

d) Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

e) Inventories

Cost Comprises expenditure incurred in the normal course of business in bringing such inventories to its location and includes, where applicable, appropriate overheads based on normal level of activity.

- Inventories are stated at cost and as certified by the management and are valued as follows:

i. Raw Cotton - At Cost

ii. Stock in Process - At Cost

iii. Yarn Stock - At Cost

iv. Waste Cotton - At Cost or at Net Realizable Value whichever is lower

f) Debtors/Advances and Creditors/Retentions:

Confirmations of balance of certain Debtors and Creditors as well as advances given to and received from parties have not been received by as on the date of this report and hence the said balances are subject to such confirmations and reconciliations.

Note: The above fee is exclusive of service tax.

h) Related party disclosure:

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the entity, directly or indirectly, including any director whether executive or otherwise. Key management personnel includes the board of directors and other senior management executives.

The disclosure required to be made as per Indian Accounting Standard - 24 "Related Party Disclosure" has been furnished separately as an Annexure-I to this report.

i) Earnings Per Share:

Basic earnings per share has been calculated by dividing profit for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year (81,72,360 Shares). The company has not issued any potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

j) Segment Reporting:

The Company operates two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

k) Dividend:

The Board of Directors, in its meeting on 30th May, 2018, have proposed a final dividend of Rs.1/- per equity share for the financial year ended 31st March, 2018. The proposal is subject to the approval of shareholders at the Annual General Meeting and if approved would result in a cash outflow of approximately Rs.97,61,787/-, including Dividend Distribution Tax.

The Proposed dividend will be recognized in the Financial Statements in the subsequent year that is in the year in which the proposed dividend is approved by the shareholders.

l) Letter of Credit

During the year, Maris Spinners Limited Unit I Hunsur has entered into a letter of credit limit with Indian Overseas

Bank for Rs.16,00,00,000/- towards purchase of Raw Cotton which is secured by Documents of Title goods/ accepted hundies and charge on current assets.

m) Contingent Liability:

a. An amount of Rs.8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand and energy quota during the period November & December''08 to July 2009. The company had remitted the amount and the matter had been disputed before the Appellate Tribunal for Electricity (APTEL), New Delhi and the same has been decided in our favour and the Electricity Department has gone an appeal to the Supreme Court. The company is confident of obtaining complete relief in the Apex court there by confident of getting refund of above amount.

b. An amount of Rs.42,395/- towards difference in Stamp Duty for 14.78 acres Land purchased at Manaparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential stamp Duty is not payable and hence no provision has been made for the same.

c. The company has been served with a notice of demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs.4,00,032/- under the Tamil Nadu VAT Act, 2006, pursuant to the orders passed in this regard, holding that the company was not eligible to claim input tax credit in respect of interstate sales to the extent mentioned in the said order. The company has filed an appeal against the said order and obtained a stay in the Madurai Bench of Madras High Court and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts.

d. E-Tax on maximum demand charges which was levied in monthly CC Bill by TANGEDCO was paid by the company till September 2012. In view of an interim order passed by the Hon''ble Supreme Court staying the procedure of leaving E-Tax on maximum demand charges on 12/10/2012 responding to the SLP filed by SIMA (SLP (C) N0.31039 of 2012) we have not been paying E-tax for the maximum demand charges since October 2012. The accrued E-Tax amount till March 2017 was Rs.11,59,906/-. As the case has been pending before the Apex court and SIMA is confident of getting order in favour of its member mills, no provision has been made in the books of accounts.

e. TANGEDCO has issued a show cause notice dated 20/04/2017 on the company, informing its intention to levy Cross Subsidy Surcharge on us for an amount of Rs.5,44,94,998/- in connection with non-fulfilling of Captive Generating status for the Financial Year 2014-15,2015-16 and 2016-17. The company has filed its response to the show cause notice on 04/05/2017 where it as contested the claim of TANGEDCO.

As the move initiated by TANGEDCO on all H.T. Consumers as well as the Power Generating and Supplying Plants was not maintainable as per the Central Electricity Rules 2005 the Hon''ble High Court of Madras has directed TNERC to ascertain the status on the above and also stayed TANGEDCO taking any action from based on its correspondences issued to the consumer on the above matter. The Company is confident of obtaining complete relief in the matter and hence no provision is required to be made in the books of the company.

f) The company has been served with notices of Demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs.21,46,430/- under the Tamil Nadu VAT Act, 2006 for reversal of input tax credit in respect of Invisible loss and Waste cotton % (for the Sales Tax Assessment Year 2008-09 to 201213) and for a sum of Rs.63,45,971/- (for the Sales Tax Assessment Year 2013-14 & 2014 -15) in respect of reversal of input tax credit for invisible loss, waste cotton % and deposits in to bank account, that did not tally with sales turnover, difference between these amounts, represents that the actual receipts of sale

considered had been suppressed. Against the above demand, the company has filed an appeal against the said order and obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.9,06,000/- being 25% of Tax amount of the demand and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts.

g) The company has been served with a notice of Demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs.59,85,510/- under the Tamil Nadu VAT Act, 2006, towards deposits in to bank account, that did not tally with sales turnover (for the Sales Tax Assessment year 2015-16), difference between these amounts, represents that the actual receipts of sale considered had been suppressed. Against the above demand, the company has filed an appeal against the said order and obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.2,00,000/- being 25% of Tax amount of the demand and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts.

h) The company has been served with a notice of Demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs.19,90,660/- under the Tamil Nadu VAT Act, 2006, towards sales value of stock omission for 53,084.240 Kgs. (for the Sales Tax Assessment year 2016-17). The Inspecting officers had incorrectly arrived the process stock quantity and had failed to consider the stock of unpacked finished goods of 7779.240 kgs.

The company had disputed the same before the Appellate Deputy Commissioner (CT), Trichy and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts.

n) Financial instruments - fair value measurement a. Accounting classifications and fair values

The Company does not have any financial assets or financial liabilities whose fair value is different from its carrying amount.

o) Financial instruments - risk management

The Company has exposure to the following risks arising from financial instruments:

- credit risk (refer note (b) below)

- liquidity risk (refer note (c) below)

- market risk (refer note (d) below).

a. Risk management framework

The Company''s board of directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. The Company''s risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company''s activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations

b. Credit risk

"Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Company''s receivables from customers, loans to related parties and cash and cash equivalents.

The carrying amount of financial assets represents the maximum credit exposure."

(i) Cash and cash equivalents

The Company holds cash and cash equivalents of INR 51,62,633 at 31 March 2018 (31 March 2017: INR 1,54,64,938). The cash and cash equivalents are mainly held with nationalized banks which have a very low risk of default.

c. Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company''s reputation.

i) Financing arrangement

The Company had no undrawn borrowing facilities at the end of the reporting period.

d. Market risk

"Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices, which will affect the Company''s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return."

i) Currency risk

Majority of the transactions entered into the company are denominated in INR. Accordingly the company does not have any currency risk

ii) Interest rate risk

The Company does not have any borrowings from external banks/agency and hence there is no interest rate risks.

p) Previous Year Figures

Previous year''s figures have been regrouped and reclassified wherever necessary in order to make them comparable with the current year figures.

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Mar 31, 2016

1. "The Company has only one class of shares referred to as Equity shares having at par value of Rs. 10 each -Holder of Equity is entitled to one vote per share"

2. "The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting."

3. The Board of Directors have proposed to declare dividend for the year ended 31st March, 2016

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

4. Revenue Recognition:

The Company derives its revenue primarily from manufacture of cotton yarn.

Revenue is recognized at the time of delivery of goods net of Trade Discounts to customers and Sales Tax/Value added taxes recovered from customers.

Sales are recognized based on raising of invoice upon satisfactory delivery of goods to the Customers.

5. Taxes on Income and Deferred Taxes :

The Company has made a provision for Income Tax for Rs 93,92,975/- during the year based on the taxable income of the company for the year as per the provisions of Income Tax Act, 1961 after setting off the Mat Credit available. The Tax Savings of Rs. 17,89,506/- has been credited to the Profit and Loss Account and correspondingly Deferred Tax Liability amounting to Rs.2,21,33,481/- has been disclosed in the Balance Sheet as at 31-03-2016. The disclosure of the same is as follows:

6. Cash Flow Statement:

The cash flow statement is prepared under "Indirect Method" and the same is annexed.

7. Events occurring after the date of Balance Sheet:

There are no events occurring after the date of the Balance Sheet, which has a material effect on the accounts.

8. Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

9. Inventories

10. Cost Comprises expenditure incurred in the normal course of business in bringing such inventories to its location and includes, where applicable, appropriate overheads based on normal level of activity.

11. Inventories are stated at cost and as certified by the management and are valued as follows:

12. Raw Cotton - At Cost

13. Stock in Process - At Cost

14. Yarn Stock - At Cost

15. Waste Cotton - At Cost or at Net Realizable Value whichever is lower

16. Debtors/Advances and Creditors/Retentions:

Confirmations of balance of certain Debtors and Creditors as well as advances given to and received from parties have not been received by as on the date of this report and hence the said balances are subject to such confirmations and reconciliations.

17. Related party disclosure:

The disclosure required to be made as per Accounting Standard - 18 "Related Party Disclosure” has been furnished separately as an Annexure-II to this report.

18. Earnings Per Share:

Basic earnings per share has been calculated by dividing profit for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year (81,72,360 Shares). The company has not issued any potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

19. Segment Reporting:

The Company operates two Units at Kattemalalavadi Village, Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

20. Dividend:

The Company has proposed to declared dividend of Rs.1 per share. The Company has provided for the dividend distribution tax amounting to Rs.16,34,691.00.

21. Contingent Liability:

22. An amount of Rs.16,21,062.00 has been raised by The Superintending Engineer, Tamil Nadu Electricity Board, Trichy (Metro) Circle dated 23.02.2010 towards excess Demand and Energy charges for the month of November & December''09. Against the above Demand the company has obtained a stay in the Madurai

Bench of Madras High court by depositing an amount of Rs.4,05,266.00 being 25% of the demanded amount and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

23. An amount of Rs.8,02,455.00 has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand quota and energy quota during the period November & December''08 to July 2009. The company has disputed the same before the Appellate Tribunal for Electricity (APTEL) New Delhi and the same has been decided in our favour the Electricity Department has gone an appeal to the Supreme Court and the matter is pending and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

24. An amount of Rs.42,395.00 towards difference in Stamp Duty for 14.78 acres Land purchased at Manapparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential stamp Duty is not payable and hence no provision has been made for the same.

25. The Company has been served with a notice of demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs.4,00,032.00 under the Tamil Nadu VAT Act, 2006, pursuant to the orders passed in this regard, holding that the Company was not eligible to claim input tax credit in respect of interstate sales to the extent mentioned in the said order. The Company is in the process of filing an appeal against the said orders and is confident of getting substantial/complete relief against the said demand and consequently no provision has been made in the books of accounts.

26. Previous Year Figures

Previous year''s figures have been regrouped and reclassified wherever necessary in order to make them comparable with the current year figures.

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Mar 31, 2014

Note - 1 - Share capital

1.1 "The Company has only one class of shares referred to as Equity shares having a par value of Rs. 10 each - Holder of Equity is entitled to one vote per share."

1.2 "The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting."

1.3 The Board of Directors have proposed to declare divided for the year ended March 31, 2014.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

Note-2: Other Notes to Accounts

a) Taxes on Income and Deferred Taxes:

The Company has made a provision for Income Tax for Rs. 1,72,20,515/- during the year based on the taxable income of the company for the year as per the provisions of Income Tax Act, 1961.

The Tax Expense of Rs. 1,95,71,298/- has been debited to the Profit and Loss Account and correspondingly Deferred Tax Liability amounting to Rs. 2,50,14,465/- has been disclosed in the Balance Sheet as at 31-03-2014.

b) Events occurring after the date of Balance Sheet:

There are no Events occurring after the date of the Balance Sheet, which has a material effect on the accounts.

c) Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

d) Inventories

Cost Comprises expenditure incurred in the normal course of business in bringing such inventories to its location and includes, where applicable, appropriate overheads based on normal level of activity.

* Inventories are stated at cost and as certified by the management and are valued as follows:

i. Raw Cotton - At Cost.

ii. Stock in Process - At Cost.

iii. Yarn Stock - At Cost.

iv. Waste Cotton - Cost or at Net Realisable Value Whichever is Lower.

* The quantitative particulars as required under Part II of Schedule VI of the Companies Act ,1956 are furnished separately as an Annexure-I to this report.

e) Particulars of Employees as required u/s 217(2A) of the Company''s Act:

The company has no employees drawing remuneration in excess of Rs. 5,00,000/- per month or Rs. 60,00,000/- p.a, as specified under Section 217(2A) of the Companies Act, 1956.

f) Debtors/Advances and Creditors/Retentions:

Confirmations of balance of certain Debtors and Creditors as well as advances given to and received from parties have not been received as on the date of this report and hence the said balances are subject to such confirmations and reconciliations.

g) Related party disclosure:

The disclosure required to be made as per Accounting Standard - 18 "Related Party Disclosure" has been furnished separately as an Annexure-II to this report.

h) Earnings Per Share:

Basic earnings per share has been calculated by dividing profit for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year (81,72,360 Shares). The company has not issued any potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

i) Segment Reporting:

The Company Operates Two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

j) Dividend:

The Company propose to declare dividend at 10 % on the paid-up capital. The Company has provided for the dividend distribution tax amounting to Rs. 13,00,568/-.

k) Contingent Liability:

a. An amount of Rs. 16,21,062/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 23.02.2010 towards Excess Demand and Energy charges for the month of November & December''09. Against the above Demand the company has obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.4,05,266/- being 25% of the demanded amount and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

b. An amount of Rs. 8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand quota and energy quota during the period November & December''08 to July 2009. The company has disputed the same before the Appellate Tribunal for Electricity (APTEL) New Delhi and the same has been decided in our favour the Electricity Department has gone an appeal to the Supreme Court and the matter is pending and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

c. An amount of Rs. 42,395/- towards difference in Stamp Duty for 14.78 acres Land purchased at Manapparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential stamp Duty is not payable and hence no provision has been made for the same.

d. The Company has been served with a notice of demand by the Assistant Commissioner, Woraiyur Assessment Circle, Trichy, for a sum of Rs. 4,00,032/- under the Tamil Nadu VAT Act, 2006, pursuant to the orders passed in this regard, holding that the Company was not eligible to claim input tax credit in respect of interstate sales to the extent mentioned in the said order. The Company is in the process of filing an appeal against the said orders and is confident of getting substantial/complete relief against the said demand and consequently no provision has been made in the books of accounts.

l) Previous Year Figures:

Previous year''s figures have been regrouped and reclassified wherever necessary in order to make them comparable with the current year figures.

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Mar 31, 2013

A Quantitative particulars are furnished separately as an Annexure-I to this report.

B. Secured Loans

i. Term loan of Rs.129.26 Lakhs from Indian Bank (Previous Year Rs.203.12 Lakhs) is secured by exclusive charge on the Plant & Machinery for which they have financed. Term loan of Rs. 2229.36 Lakhs (Previous Year Rs.2516.91 Lakhs) from Indian Overseas Bank is secured by exclusive charge on the Plant & Machinery for which they have financed and also secured against Land, Buildings and Plant & Machinery of Unit I (other than the assets charged exclusively to KVB & IOB) by means of an agreement ranking pari passu between them, The Karur Vysya Bank Ltd., and ICIC1 Bank Ltd.

In addition the term loan from Indian Overseas Bank and Indian Bank, is secured by personal guarantees of all the Promoter Directors.

ii. Term Loan of Rs. 492.70 Lakhs from Karur Vysya Bank Ltd., (Previous year Rs.550.00 Lakhs) related to Unit II is secured by exclusive charge on current assets, book debts and movable property of the Company.

iii. Cash credit facility to the extent of Rs. 1888.63 Lakhs (Previous Year Rs. 1790.06 Lakhs) has been sanctioned from Indian Overseas Bank for Unit I. Rs.529.27 Lakhs (Previous Year Rs.264.37 Lakhs) sanctioned from The Karur Vysya Bank for Unit II are secured against Hypothecation and Pledge of Stocks, second charge on fixed assets of Unit II and collateral security of land belonging to the shareholders.

C. In the opinion of the Board, the Current Assets, Loans & Advances are approximately of the value stated as realizable in the ordinary course of the business. The provision for depreciation and all known liabilities are adequate.

D. An amount of Rs. 18,98,770/- (Previous Year Rs. 15,76,735/-) has been provided in the Profit & Loss Account towards Bonus and Rs. 27,33,028/- (Previous Year Rs. 26,28,637/-) towards Exgratia payable.

E. Information Regarding Employees:

The company has no employees drawing remuneration in excess of Rs. 5,00,000/- per month or Rs. 60,00,000/- p.a, as specified under Section 217(2A) of the Companies Act, 1956.

F. Financial overheads include interest on Term Loan amounting to Rs. 167.70 Lakhs (Previous Year Rs. 99.87 Lakhs), Interest on Working Capital Loans amounting to Rs 293.27 Lakhs (Previous Year Rs.437.09 Lakhs), Interest on TUF Loan Rs. 235.99 Lakh (Previous Year 266.83 Laks) and interest on other loans of Rs.36.26 Lakh (Previous Year Rs.35.50 Lakhs).

G. Confirmations of balance of Debtors and Creditors as well as advances given to and received from parties have not been received by as on the date of this report. The same are subject to such confirmations and reconciliations.

H. Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

I. Events occurring after the date of Balance Sheet:

There are no Material Events occurring after the date of Balance Sheet, which has been considered in the statement of accounts.

J. RELATED PARTY DISCLOSURE:

The disclosure required to be made as per Accounting Standard - 18 "Related Party Disclosure" has been furnished separately as an Annexure-II to this report. N. Basic earnings per share has been calculated by dividing profit for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year (81,72,360 Shares). The company has not issued any potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

K. Segment Reporting:

The Company Operates Two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

L. Contingent Liability:

Provision is recognized when an enterprise has a present obligation as a result of past event and is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on Management estimates required to settle the obligation at the Balance sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimate.

a. An amount of Rs. 16,21,062/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 23.02.2010 towards Excess Demand and Energy charges for the month of November & December''09. Against the above Demand the company has obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.4,05,266/- being 25% of the demanded amount and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

b. An amount of Rs.8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand quota and energy quota during the period November & December''08 to July 2009. The company has disputed the same before the Appellate Tribunal for Electricity (APTEL) New Delhi and the same has been decided in our favour the Electricity Department has gone an appeal to the Supreme Court and the matter is pending and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

c. An amount of Rs.42,395/- towards difference in Stamp Duty for 14.78 acres Land purchased at Manaparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential stamp Duty is not payable and hence no provision has been made for the same.

1.1 "The Company has only one class of shares referred to as Equity shares having a par value of Rs. 10 each - Holder of Equity is entitled to one vote per share"

1.2 "The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting."

1.3 The Board of Directors have proposed to declare divided for the year ended March 31, 2013.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

2. Dividend at the rate of 10% has been proposed by the Board during the financial year.

3 Previous year''s figures have been regrouped and reclassified wherever necessary to confirm to the classification in terms of accounts drawn in accordance with the Revised Schedule VI and in the absence of specific requirement, Balance Sheet Abstract and General Profile of the Company are not furnished.

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Mar 31, 2012

A Quantitative particulars are furnished separately as an Annexure-I to this report.

B. Secured Loans

i. Term loan of Rs.203.12 Lakhs from Indian Bank (Previous Year Rs. 276.98 Lakhs) is secured by exclusive charge on the Plant & Machinery for which they have financed. Term loan of Rs. 2576.91 Lakhs (Previous Year Rs. 2550.43 Lakhs) from Indian Overseas Bank is secured by exclusive charge on the Plant & Machinery for which they have financed and also secured against Land, Buildings and Plant & Machinery of Unit I (other than the assets charged exclusively to KVB & IOB) by means of an agreement ranking pari passu between them and The Karur Vysya Bank Ltd. In addition the term loan from Indian Overseas Bank and Indian Bank, is secured by personal guarantees of all the Promoter Directors.

ii. Cash credit facility to the extent of Rs. 1790.06 Lakhs (Previous Year Rs. 1864.41 Lakhs) has been sanctioned from Indian Overseas Bank for Unit I and Rs.264.37 Lakhs (Previous Year Rs. 1874.84 Lakhs) sanctioned from The Karur Vysya Bank for Unit II are secured against Hypothecation and Pledge of Stocks, second charge on fixed assets of Unit II and collateral security of land belonging to the promoters.

C. In the opinion of the Board, the Current Assets, Loans & Advances are approximately of the value stated as realizable in the ordinary course of the business. The provision for depreciation and all known liabilities are adequate.

D. An amount of Rs. 15,76,735 /-(Previous Year Rs. 15,92,965/-) has been provided in the Profit & Loss Account towards Bonus and Rs. 26,28,637/- (Previous Year Rs. 21,25,069/-) towards Exgratia payable.

E. Information Regarding Employees:

The company has no employees drawing remuneration in excess of Rs. 5,00,000/- per month or Rs. 60,00.000/- p.a, as specified under Section 217(2A) of the Companies Act, 1956.

F. Financial overheads include interest on Term Loan amounting to Rs. 99.87 Lakhs, Interest on Working Capital Loans amounting to Rs 437.09 Lakhs (Previous Year Rs. 198.93 Lakhs), Interest on TUF Loan Rs. 268.83 Lakh (Previous Year 184.43) and interest on other loans of Rs.35.50 Lakh (Previous Year NIL).

G. Confirmations of balance of Debtors and Creditors as well as advances given to and received from parties have not been received as on the date of this report. The same are subject to such confirmations and reconciliations.

H. Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

I. Deferred Tax Liability/Asset :

During the year Deferred Tax Savings of Rs. 206,71,489/- has been provided for in Profit & Loss Account.

The disclosure of the same is as follows:

Particulars Amount (In Rupees)

Opening balance of Deferred Tax Liability 261,76,855/-

Less: Deferred Tax Savings for the Current Year (2,46,76,232)/-

Deferred Tax Liability (As shown in the Balance Sheet) 15,00,623/-



J. Events occurring after the date of Balance Sheet:

There are no Material Events occurring after the date of Balance Sheet, which has been considered in the statement of accounts.

K. Remuneration to Statutory Auditors debited to Profit & Loss Account:

Particulars 2011-12

Audit Fees Rs. 40000/-

Tax Audit Fees Rs. 45000/-

Total Rs. 85000/-

(The fee shown is excluding Service Tax)

L. RELATED PARTY DISCLOSURE:

The disclosure required to be made as per Accounting Standard - 18 "Related Party Disclosure" has been furnished separately as an Annexure-II to this report.

M. Basic earnings per share has been calculated by dividing profit for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year ( 81,72,360 Shares ). The company has not issued any potential equity shares and accordingly, the basic earnings per share and diluted earnings per share are the same.

N. Signature to Note 1 to 25 forms an integral part of the accounts.

O. Segment Reporting:

The Company Operates Two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

P. Contingent Liability:

Provision is recognized when an enterprise has a present obligation as a result of past event and is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on Management estimates required to settle the obligation at the Balance sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimate.

a. The company is contingently liable towards the bill discounted and outstanding as at the end of the financial year.

b. An amount of Rs. 16,21,062/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 23.02.2010 towards Excess Demand and Energy charges for the month of November & December'09. Against the above Demand the company has obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.4,05,266/- being 25% of the demanded amount and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

c. An amount of Rs.8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand quota and energy quota during the period November & December'08 to July 2009. The company has disputed the same before the Appellate Tribunal for Electricity (APTEL) New Delhi and the same has been decided in our favour the Electricity Department has gone an appeal to the Supreme Court and the matter is pending and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

d. An amount of Rs.42,395/- towards difference in Stamp Duty for 14.78 acres Land purchased at Manaparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential stamp Duty is not payable and hence no provision has been made for the same.

1.1 "The Company has only one class of shares referred to as Equity shares having a par value of Rs. 10 each - Holder of Equity is entitled to one vote per share"

1.2 "The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting."

1.3 The Board of Directors did not declare any divided for the year ended March 31, 2012.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

1.4. No dividend has been declared by the Company during the financial year.

1.5 Previous year's figures have been regrouped and reclassified wherever necessary to confirm to the classification in terms of accounts drawn in accordance with the Revised Schedule VI and in the absence of specific requirement, Balance Sheet abstract and General Profile of the Company are not furnished.

---

Mar 31, 2010

1. Quantitative particulars are furnished separately as an Annexure-I to this report.

2. Secured Loans

i. Rs. NIL (Previous Year Rs. 37.50 Lakhs) under Rupee Term Loan from ICICI Bank and Rs. NIL (Previous Year Rs.1.77Lakhs) under Foreign Currency Loan from ICICI Ltd, are secured against Land, Buildings and Plant & Machinery of Unit II by means of an agreement ranking pari passu between them. Also the term loan from ICICI Bank Ltd. is secured against Land, Buildings and Plant & Machinery of Unit I (other than the assets charged exclusively to KVB & IOB)by means of an agreement ranking pari passu between them, The Karur Vysya Bank Ltd., and Indian Overseas Bank. In addition the term loan from Industrial Development Bank of India & ICICI Bank Ltd, are secured by personal guarantees of two Directors. Term loan of Rs. 304.44 from Indian Bank (Previous YearRs. 316.44 Lakhs) is secured by exclusive charge on the Plant & Machinery for which they have financed. Term loan of Rs. 985.26 (Previous YearRs. 997.26 Lakhs) from Indian Overseas Bank is secured by exclusive charge on the Plant & Machinery for which they have financed and also secured against Land, Buildings and Plant & Machinery of Unit I (other than the assets charged exclusively to KVB & IOB) by means of an agreement ranking pari passu between them.The Karur Vysya Bank Ltd., and ICICI Bank Ltd., In addition the term loan from Indian Overseas Bank and Indian Bank, is secured by personal guarantees of all the Promoter Directors and shareholders namely Smt. T. Kamala and Smt. R. Meenakshi. The term loan of Rs. 115.48 (Previous Year Rs. 184.41 Lakhs) sanctioned by The Karur Vysya Bank Ltd.,is secured by exclusive charge on the fixed assets of Unit II for which they have financed and also by personal guarantees of all the Promoter Directors.

ii. Cash credit facility to the extent of Rs. 853.94 Lakh (Previous Year Rs. 574.76 Lakhs) has been sanctioned from Indian Overseas Bank for Unit I and Rs.460.74 (Previous Year Rs. 463.58 Lakhs) sanctioned from The Karur Vysya Bank for Unit II are secured against Hypothecation and Pledge of Stocks, second charge on fixed assets of Unit II and collateral security of land belonging to shareholders namely Smt. T. Kamala and Smt. R. Meenakshi.

3. In the opinion of the Board, the Current Assets, Loans & Advances are approximately of the value stated as realizable in the ordinary course of the business. The provision for depreciation and all known liabilities are adequate.

4. An amount of Rs 12.99 Lakhs (Previous Year Rs. 10.90 Lakhs) has been provided in the Profit & Loss Account towards Bonus and Rs 7.41 Lakhs (Previous Year Rs. 9.31 Lakhs) towards Exgratia payable. Apart from the provision made for the year ended 31-03-2010 the company has also paid an amount of Rs. 5.17 Lakhs towards Ex-Gratia

5. Information Regarding Employees:

The company has no employees drawing remuneration in excess of the limits specified under section 217(2A) of the Companies Act, 1956.

6. Financial overheads include interest on Term Loan amounting to Rs 182.19 Lakhs (Previous Year Rs. 239.37 Lakhs), Interest on Other Loans amounting to Rs 129.51 Lakhs (Previous Year Rs. 190.33 Lakhs) and Interest on Trade Credit Rs. 3.83 Lakh.

7. Confirmations of balance of Debtors and Creditors as well as advances given to and received from parties have not been received as on the date of this report. The same are subject to such confirmations and reconciliations.

8. Disclosure With Regard To Micro enterprises and Small Scale Undertaking:

In view of insufficient information received from suppliers concerning their status as "Micro Enterprise", "Small Enterprise" as defined under clause (h) & (m) of Section 2 of the Micro, Small and Medium Enterprises Development Act, 2006, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts

In view of insufficient information received from suppliers concerning their status as Small Scale undertaking as defined under clause (j) of section 3 of the Industries (Development & Regulations) Act 1951, disclosure of particulars regarding unpaid amounts to such suppliers could not be made in the accounts.

9. Events occurring after the date of Balance Sheet:

There are Material Events occurring after the date of Balance Sheet, which has been considered in statement of accounts.

10. RELATED PARTY DISCLOSURE:

The disclosure required to be made as per Accounting Standard - 18 "Related Party Disclosure" has been furnished separately as an Annexure-ll to this report.

11. Signature to Schedule 1 to 18 forms an integral part of the accounts.

12. Segment Reporting:

The Company Operates Two Units at Hunsur, Karnataka and Kulithalai Road, Manapparai, Trichy, Tamil Nadu. However, as the products manufactured by both the units are same and as the risks and rewards attached to the operations of both the units are not significantly different treating each unit as separate segment for purpose of applicability of Accounting Standard - 17 does not arise.

13. Contingent Liability:

a) An amount of Rs. 42,395/- towards difference in Stamp Duty for 14.78 acres Land purchased at Manapparai during 1995 has been claimed by The Special Deputy Collector (Stamps), which is still in dispute. The Management is confident that the differential Stamp Duty is not payable and hence no provision has been made for the same.

b) A demand of Rs 41,614/- has been raised by The Deputy Commissioner of Central Excise - II, "A" Wing, Williams Road, Cantonment, Trichy, for non-payment of duty availed earlier on removal of Capital Goods during the period ended October 2006. However, the company has disputed the same before the relevant authorities and is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts

c) A demand of Rs.2,45,162/- has been raised by The Deputy Commissioner of Central Excise - II, "A" Wing, Williams Road, Cantonment, Trichy, for non-payment of duty availed earlier on removal of Capital Goods during the period ended March 2007. However, the company has disputed the same before the relevant authorities and is confident of obtaining complete relief in the matter and hence no provision has been made in the books of accounts.

d) An amount of Rs. 16,21,062/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 23.02.2010 towards Excess Demand and Energy charges for the month of November & December 2009. Against the above Demand the company has obtained a stay in the Madurai Bench of Madras High court by depositing an amount of Rs.4,05,266/- being 25% of the demanded amount and the company is confident of obtaining complete relief in the matter and hence no provision has been made in the books of account.

e) An amount of Rs.8,02,455/- has been raised by The Superintending Engineer, Tamil Nadu Electricity Board Trichy (Metro) Circle dated 13.05.2010 towards Excess Demand and Energy charges for exceeding the demand quota and energy quota during the period November & December 2008 to July 2009. The company has disputed the same before the Appellate Tribunal for Electricity (APTEL) New Delhi and the company is confident of obtaining complete relief in the matter and hence no provision has, been made in the books of account.

14. No dividend has been declared by the Company during the financial year.

15. Previous years figures have been regrouped wherever necessary in order to make them comparable with that of the current year.